SBI Q3 net leapfrogs 179% to Rs 614cr

Mumbai, January 30: | Updated: Jan 31 2002, 05:30am hrs
State Bank of India (SBI) has posted a 178.97 per cent jump in its net profit during the third quarter ended December 31 to Rs 613.89 crore, up from Rs 220.05 crore in the corresponding period of the previous fiscal.

Total income grew by 15.2 per cent to Rs 8,366 crore (Rs 7,262 crore).

During the first nine-month of the fiscal, SBI’s net profit grew to Rs 1,815.93 crore (Rs 1,262.70 crore), reflecting a growth of 43.81 per cent. Total income during the nine-month period stood at Rs 24,943.43 crore (Rs 21,086.31 crore).

SBI clarified that “the net-profit of the nine month ended December 31, 2000 was affected by the provision made for the issue expenses of India Millenium Deposits. In the current nine month period, it was required to provide for investment depreciation, mainly towards amortisation of premium paid on securities in held-to-maturity category. After excluding the aforesaid items from the net profits of the respective periods, the net profit for the current nine-month period has still witnessed a strong growth of 23.44 per cent”.

Operating profit during the nine-month period stood at Rs 4,256.69 crore (Rs 3,360.36 crore). “The growth in net profit was achieved due to increased operating profit, despite larger provisions made for the current nine month period”, SBI said in a press release.

Total provisions made for the nine-month period amounted to Rs 2,440.76 crore (Rs 2,097 crore) due to increased provision for non-performing assets (NPAs) at Rs 1,150 crore, higher tax provision at Rs 1,129.5 crore and investment depreciation at Rs 163.43 crore. SBI made a payment of Rs 88.63 crore (write-off on a pro-rata basis) towards voluntary retirement scheme (VRS) during the third quarter.

Net interest income for nine months increased by 12.91 per cent to Rs 6,582.99 crore (Rs 5,830.32 crore). Earnings per share has gone up to Rs 46 from Rs 31.99 in end-December 2001.

Domestic deposits, excluding Resergent India Bonds and India Millenium Deposits, stood at Rs 2,12,032 crore (Rs 1,83,934 crore) while net domestic advances stood at Rs 1,00,188 crore (Rs 94,423 crore). Of late, SBI has accorded a thrust towards the retail segment, which has shown a growth of 22.25 per cent.